McDonald's Corporation (MCD)
McDonald's is the world's largest fast-food chain, serving millions of customers daily through its iconic golden arches.
Is McDonald's Corporation a good stock for a UK beginner?
The honest version: McDonald's is the world's largest fast-food chain, serving millions of customers daily through its iconic golden arches.
Over about 2 years to 2026-07-31. This is the share price only - reinvesting the dividends would add to it. And it's the USD return - as a UK investor your actual £ return also moves with the exchange rate. Past performance is not a guide to the future, and it could just as easily have fallen.
Based on beta - how much the price swings versus the whole market. Bumpier isn't bad; it just means a rougher ride, which matters more the sooner you might need the money.
Prices move on results, news and the mood of the whole market - no single headline explains a day, and a quiet week is usually just noise, not a signal.
Dominance in emerging markets drives significant long-term revenue.
Major shifts in dietary trends away from fast food.
What does McDonald's Corporation do?
McDonald's operates a massive network of restaurants, mostly run by local franchisees who pay rent and royalties to the parent company. Income streams in from selling food and collecting these franchise fees, creating a very steady flow. It comes down to how they balance rising food costs against keeping their menu affordable enough to keep customers coming back.
On our factor screen it looks strongest on quality and income, and weakest on momentum.
- ✓Pays a dividend - about 2.8% a year
- ✓Growing - revenue up about 9% over the year
- ✓Very profitable - turns about 32% of sales into profit
- Quality screens high (80/100)
- Highly recognisable global brand
- Strong profit margins due to the franchise model
- Consistent history of paying dividends
- Momentum screens low (23/100)
- Changing public health attitudes towards fast food
- Rising costs for ingredients and labour
- Potential for food safety or operational scandals
What do McDonald's Corporation's numbers mean?
How much money does McDonald's Corporation make?
Revenue and profit by quarter, and how much of each sale turns into profit.
Does McDonald's Corporation pay a dividend?
Yes - McDonald's Corporation currently pays a dividend of about 2.8% a year (the yearly payout as a share of the price). A dividend is a slice of profit handed to shareholders; the yield moves as the price moves, and a company can cut or stop it.
When does McDonald's Corporation report earnings, and how did recent quarters go?
McDonald's Corporation is next scheduled to report on about 2026-08-04 - dates can move, and we don't predict results; this just tells you when to look.
Each quarter a company reports its results against what analysts expected. ‘Beating’ or ‘missing’ is about that expectation, not whether the business is doing well in absolute terms.
| Reported | Expected EPS: The earnings per share analysts expected for the quarter - the average of their forecasts. 'Beating' or 'missing' is measured against this number. | Actual EPS | vs expected |
|---|---|---|---|
| 2026-05-07 | $2.74 | $2.83 | Beat +3% |
| 2026-02-11 | $3.05 | $3.12 | Beat +2% |
| 2025-11-05 | $3.33 | $3.22 | Missed -3% |
| 2025-08-06 | $3.15 | $3.19 | Beat +1% |
| 2025-05-01 | $2.67 | $2.67 | In line |
| 2025-02-10 | $2.86 | $2.83 | In line |
Across the last 6 quarters here, McDonald's Corporation came in ahead of what analysts expected 3 times. One quarter is noise, not a trend.
See who else reports over the next two weeks →
Reported vs expected earnings per share (EPS) from published results; the expectation is the analyst consensus, not our view. Report dates are estimates that can move.
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Casey's General Stores, Inc.What are the scenarios for McDonald's Corporation?
An illustrative range for the year ahead, with the assumption behind each case — not a prediction or a price target.
What are the pros and cons of McDonald's Corporation?
How many points the write-up makes each way — a balance check, not a score or verdict.
- Highly recognisable global brand
- Strong profit margins due to the franchise model
- Consistent history of paying dividends
- High reliance on consumer spending power
- Negative share price performance over the last year
- Complex global supply chain management
- Changing public health attitudes towards fast food
- Rising costs for ingredients and labour
- Potential for food safety or operational scandals
The write-up's own warning lights — if these start happening, the case above changes.
- A significant, permanent drop in global franchise royalty income
- A major shift in the business model away from franchising
Built from public filings & market prices, checked for an education-only tone, and never a price target. How we make these →
This plain-English summary was auto-generated on 2026-08-01 from public data and checked for an education-only, no-advice tone (the figures above carry their own, usually fresher, 'as of' date). It's information, never a recommendation.